1. Introduction: Context and Motivation Economics of Food Markets Lecture 1 Alan Matthews

2. Food Markets Factor markets Input markets Farm product markets Retail markets FarmersProcessorsDistributors and retailers Wholesale markets International trade Consumers

3. Characteristics of food markets Factor markets –Missing markets (environment, agricultural research), regulation of competing uses (land) Primary commodity markets –Competitive markets characterised by volatility, declining terms of trade and weak bargaining power of producers Input and food wholesale markets –Concentrated markets, concerns about market power Food retail markets –Changing consumer behaviour, asymmetry of information, food safety, advertising International trade markets –Level playing field?, disease spread, food miles

4. The policy analysis perspective Food markets are heavily regulated for all kinds of reasons –What objectives? –What instruments? –Is the intervention efficient? –Is the intervention equitable? Tools of welfare/cost benefit analysis

5. The Food Markets course Examines policy issues arising from the operation of food and agricultural markets Emphasises blend of institutional knowledge and application of economic principles Uses simple graphical analysis of markets as the principal methodology Addresses topical issues, e.g. sugar reform, WTO trade talks

6. Food Markets outline Introduction and motivation Agricultural policy objectives – why support farming? EU agricultural policy Economics of price support policies World market effects of agricultural support policies WTO and agricultural trade rules Impacts of agricultural trade liberalisation Managing agriculture’s impact on the environment Market power in the food chain Food law and food safety

7. Food Markets assessment Examination ( 80%) –Eight questions, answer four Two assessments (10% each) Tutorial classes –Active learning, student presentations Contact and office hours –Mondays, Thursdays 2-3 pm –alan.matthews@tcd.ie

10. Food markets reading Wide reading expected Reading pack? Send expressions of interest to hwang@tcd.ie